Automation for Frequent Financial Trusts

On April 23, 2025, the Argentine Securities Commission (CNV) issued General Resolution 1063, approving the creation of two new regimes for financial trusts issued under a global program with certain periodicity to the Participative Rule-Making procedure.

The purpose of the two regimes—the public offering regime with abbreviated procedure and the public offering regime with automatic authorization of frequent issuances—is to streamline the authorization of public offerings of financial trusts that have a certain trajectory and are issued frequently.

Requirements for Accessing the Regimes

To apply for the regimes, applicants must:

1. Have issued a certain amount of financial trusts series—at least four in the case of the abbreviated procedure and seven for the automatic authorization one—with a minimum of series issued in the last 12 months—two in the case of the abbreviated procedure and three for the automatic authorization one—that have the CNV’s public offering authorization.
2. Keep substantial characteristics identical in all the issues eligible for computing access to the regime (i.e., same global program under which the issuance is made, identity of the intervening parties, and similar composition of underlying assets). Exceptionally, the substitution of the trustee and/or the issuance of the trust securities under a new global program will be permitted, provided that certain specific conditions required by the applicable regulations are met.
3. Maintain substantially unchanged all the terms and conditions of the new series of financial trusts in relation to the trusts previously issued.
4. Comply with the information regime applicable to publicly-offered financial trusts.

Documentation Required

To access these regimes, applicants must:

1. Submit an annual prospectus supplement each year, which the CNV must review and authorize in accordance with the settlor’s annual financial statements, and which must be published before the dissemination period begins.
2. Publish an abridged prospectus supplement through the CNV’s website and the information systems of the markets where the trust securities are listed and/or traded the day the dissemination period begins. This must include the particular terms and conditions of each issuance. In the case of the automatic authorization regime, the prospectus will not be subject to the CNV’s approval or review.

The trustee must inform in any distributed documentation that the offer has automatic authorization for frequent issuances, to verify that the corresponding trust issuance has not been subject to the CNV’s prior review. Further, trust securities issued under this regime must be placed and listed in a CNV-authorized market, in a specific panel such market determines.